On January 28, 2025, YZi Labs, the newly rebranded arm of Binance Labs, announced an investment in Sign Protocol, a blockchain-based token airdrop service. The funding reported to be $16 million was supported by Changpeng Zhao (CZ), the founder of Binance.

What is Sign Protocol?

Sign Protocol is a cutting-edge omni-chain attestation protocol that enables users to verify and attest information on the blockchain. It focuses on creating a more transparent, secure, and efficient token distribution infrastructure for both humans and AI agents. 

By leveraging decentralized technologies like blockchains and zero-knowledge cryptography, Sign aims to improve verification processes across various applications, such as contract signing, token management, and credential validation.

Since its founding in 2021, Sign Protocol has emerged as a leader in the token distribution sector, with its services being trusted by over 200 projects, including major players like Starknet, Movement, and ZetaChain. In 2024, Sign’s revenue soared from $1.7 million in 2023 to $15 million.

How Does Sign Protocol Work?

Sign Protocol offers a scalable solution for verifying claims and assertions on the blockchain. The team states that in a world where trust isn’t enough, Sign’s attestation protocol enables secure and decentralized claim verification.

Key Features of Sign Protocol:

• Omni-Chain Attestation: Sign Protocol supports multiple blockchains, offering a chain-agnostic platform for issuing attestations. This feature allows cross-platform compatibility, meaning users can verify claims or credentials across different blockchain networks, including EVM-based chains, Starknet, Solana, and TON.
• Off-Chain and On-Chain Modes: Sign Protocol provides two modes for storing attestations. The on-chain mode uses blockchain technology for decentralized data storage, ensuring data availability and global consensus. Meanwhile, the off-chain mode utilizes platforms like Arweave to store attestation data at a fraction of the cost compared to on-chain storage. This flexibility allows users to choose the most cost-effective and efficient method for their needs.
• Verifiable Consent: Sign Protocol supports zero-knowledge proofs, digital signatures, and other forms of cryptographic proofs to verify consent. This level of flexibility ensures that different blockchains, algorithms, and platforms can easily integrate with the protocol, offering broad interoperability.
• Privacy Features: The protocol also enhances privacy by allowing passwordless private attestations. This means users can keep the contents of their attestations hidden from the public, revealing it only to specific parties when necessary. Such privacy features reportedly make Sign Protocol ideal for sensitive applications like contract signing and credential verification.

With fresh funding, Sign plans to expand its partnerships with centralized exchanges and governments, integrate AI-driven applications, and launch its native token. Per reports, this funding will help Sign bolster its ecosystem and continue driving blockchain adoption through secure token distribution and credential verification.

By simplifying the token distribution process, Sign Protocol aims to onboard users from traditional internet platforms (Web2) into the blockchain-based Web3 world. This is particularly crucial for the mass adoption of blockchain technology.